Three companies used in an R8.5-million fraud scheme at Eskom’s Duvha Power Station are now at the centre of a R7.7-million asset restraint order secured by the Hawks following their convictions for money laundering-related offences.
Phoenix Motion Enterprise, Hustle Hard Development and Itireleng Masheleng, a Sesotho phrase loosely translated as “make money for yourselves”, were convicted alongside individuals linked to the businesses after investigators uncovered how lucrative Eskom contracts were channelled to companies associated with a former buyer.
READ: Former Eskom employee and accomplices convicted over R8.5m fraud
The Mpumalanga High Court granted the restraint order on September 30, targeting four properties and eight movable assets worth approximately R7.7-million.
According to the Hawks, Phoenix Motion Enterprise, directed by Edward George Sekatane, received contracts worth R5.38-million.
Sekatane, 46, continued operating the company while serving a prison sentence for armed robbery, investigators established.
Hustle Hard Development, directed by Thulani Harries Mahlalela, 43, received contracts worth R2.23-million, while the aptly named Itireleng Masheleng secured approximately R913,712.
The scheme operated between October 2016 and May 2019.
Former Eskom buyer convicted
Former Eskom buyer Nozipho Ntuli, 39, was convicted of fraud by the Middelburg Specialised Commercial Crimes Court on August 18.
Edward Sekatane, Mahlalela, Alfred Lebogang Sekatane, 62, and the three companies were convicted of money laundering-related offences.
Investigators established that Ntuli abused her position by awarding contracts to businesses linked to people with whom she had personal relationships or associations.
The contracts resulted in a reported R8.5-million loss to Eskom, with the Hawks tracing the money through businesses associated with the accused.
READ MORE: Ex-Eskom technician found guilty of R2.3m fraud, cleared of corruption
Properties and luxury vehicles targeted
The restrained assets include a R5.25-million property in Aerorand, Middelburg, and properties in Emalahleni and Clewer.
Vehicles targeted include a Mercedes-Benz E63 AMG, Toyota Fortuner, Hyundai i20, Mazda Drifter, Citroën C3, Ford Bantam and Volkswagen Caddy.
However, the restraint order does not constitute final forfeiture. The assets remain subject to further legal proceedings.
Mpumalanga Hawks boss Maj-Gen Nico Gerber said investigators would pursue assets linked to financial crimes.
“The outcome sends a clear message that investigations into alleged corruption and fraud do not end with identifying wrongdoing. Where the evidence supports further legal action, efforts will also be directed at preserving assets potentially linked to criminal activity,” Gerber said.
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- Three companies, Phoenix Motion Enterprise, Hustle Hard Development, and Itireleng Masheleng, were convicted of money laundering-related offences in connection with an R8.5-million fraud scheme at Eskom's Duvha Power Station.
- The Mpumalanga High Court granted a R7.7-million asset restraint order on September 30 targeting four properties and eight movable assets linked to the companies and individuals involved.
- Former Eskom buyer Nozipho Ntuli was convicted of fraud for awarding contracts to companies linked to individuals with whom she had personal relationships, causing an R8.5-million loss to Eskom.
- Phoenix Motion Enterprise received contracts worth R5.38-million and was operated by Edward George Sekatane, who ran the business while serving a prison sentence for armed robbery.
- The restrained assets include properties in Aerorand, Middelburg, Emalahleni, and Clewer, plus luxury vehicles such as a Mercedes-Benz E63 AMG and Toyota Fortuner, but these assets remain subject to further legal proceedings.
